Core Viewpoint - Warner Bros. Discovery (WBD) executives view Paramount Skydance's recent actions to pressure for a merger as ineffective "gimmicks" and suggest that Paramount should increase its offer to finalize a deal [1][4]. Group 1: Paramount Skydance's Actions - Paramount Skydance, led by David Ellison and Larry Ellison, has initiated a proxy fight for control of WBD's board and filed a lawsuit in Delaware to enforce engagement regarding its $30-per-share all-cash offer [2][10]. - The Ellisons are reportedly considering a legal challenge to the deal, referred to internally as "DefCon 1" [6][19]. - Paramount has accused WBD's board of breaching fiduciary duties by not engaging with what it claims is a financially superior proposal while supporting the $72 billion deal with Netflix [20]. Group 2: WBD's Response - WBD executives have dismissed the lawsuit as a "dud" and likened it to a comedic scenario from the show "F-Troop," indicating a lack of seriousness in Paramount's approach [3][4]. - WBD executives believe that to elect new board members, the Ellisons must wait until the company's June annual meeting, where the Netflix deal is expected to be nearly finalized [8]. - WBD remains open to the possibility of the Ellisons owning the company but suggests they need to enhance their cash bid by "a couple of bucks" per share [9]. Group 3: Financial Considerations - Larry Ellison, with a net worth of $255 billion, would need to guarantee the debt portion of his $78 billion offer, which relies on significant leverage amid declining cable TV viewership [9][12]. - The Netflix acquisition of WBD's Warner studio and HBO Max is valued at $72 billion, raising concerns about the potential for antitrust scrutiny from the Justice Department [13][22]. Group 4: Political and Regulatory Context - There is increasing skepticism from the White House regarding the Netflix deal, which could lead to significant antitrust reviews and potential lawsuits [13][19]. - Former President Trump has expressed interest in influencing the administration's stance on WBD's future, given its significance in news and programming [14][16].

Core Viewpoint - Mortgage rates have fallen below 6% for the first time since February 2023, primarily due to President Trump's directive to purchase $200 billion in mortgage bonds to address the housing crisis [1][4]. Mortgage Rates - The average rate for a 30-year fixed residential mortgage decreased to 5.87% on Monday, down from 5.99% on Friday [1][8]. - The interest rate for a 15-year fixed mortgage also fell to 5.25% [3]. Government Actions - President Trump announced the purchase of $200 billion in mortgage bonds, stating this would lower mortgage rates and make homeownership more affordable [4]. - Federal Housing Finance Authority Director Bill Pulte confirmed that Fannie Mae and Freddie Mac would execute these purchases, with an initial $3 billion already allocated [4]. Impact on Lenders and Borrowers - The bond purchases are expected to increase the liquidity available to lenders, allowing them to offer more loans to homebuyers, which could lead to lower interest rates [5]. - UBS analysts predict that this bond buying could reduce 30-year fixed mortgage rates by more than a fifth of a percent [6]. Market Context - The average rate of outstanding US residential mortgages is currently at 4.4%, which is significantly lower than the new mortgage rates, potentially discouraging homeowners from selling [6]. - Trump's bond buying initiative represents about 1.4% of the $14.5 trillion mortgage market, indicating a limited overall impact on the market [6]. Housing Market Dynamics - Analysts express skepticism regarding the significant impact of Trump's initiatives on the housing market, including a proposed ban on institutional investors buying single-family homes [7]. - Large investors and private-equity firms have acquired a substantial number of single-family homes, but they only control about 2% of the nation's housing stock [8].

Core Viewpoint - President Trump's proposal to cap credit card interest rates at 10% for one year has caused significant concern in the financial sector, leading to a decline in bank stocks and fears of reduced profitability for lenders [1][4][10]. Group 1: Market Reaction - Shares of major banks such as JP Morgan Chase, Capital One, and Citigroup experienced declines of nearly 7%, 6.5%, and over 3% respectively, as investors reacted negatively to the proposed cap [1][4]. - Payment networks like Visa, American Express, and Mastercard also saw stock drops of over 5%, 4.5%, and about 2%, indicating widespread market apprehension regarding the potential impact on spending and transaction volumes [2][4]. Group 2: Proposal Details - Trump announced the cap would take effect on January 20, 2026, coinciding with the one-year anniversary of his administration, claiming that Americans are being "ripped off" by high borrowing costs [5][6]. - The average interest rates on new credit card offers are currently above 23%, making credit cards highly profitable for lenders [6][9]. Group 3: Support and Opposition - Proponents of the cap argue it could save Americans approximately $100 billion annually in interest charges, suggesting that major credit card banks are already highly profitable [7]. - Conversely, banks and industry groups have expressed strong opposition, warning that a hard cap could lead to reduced credit availability and negatively impact consumers who rely on credit cards [10][12]. Group 4: Legal and Political Context - Legal experts have indicated that Trump may lack the authority to impose such a cap without congressional approval, suggesting that the January 20 deadline may be more about pressuring compliance than enforcing a legal mandate [10][11][14]. - Previous bipartisan bills proposing a similar cap have failed to gain traction, indicating significant political resistance to the idea [15].

Paramount Skydance dramatically escalated its hostile bid for Warner Bros. Discovery on Monday, launching a proxy fight for control of the board and filing a lawsuit in Delaware to force engagement with its $30-per-share all-cash offer.The step marks an escalation after Paramount last month accused WBD’s board of breaching its fiduciary duties by refusing to engage with what it calls its financially superior proposal while the board backed a $72 billion deal with Netflix, instead.Last week, The Post reporte ...

Leadership Change - Heineken CEO Dolf van den Brink is stepping down after nearly six years, with his departure effective at the end of May, transitioning to an advisory role for eight months [1][3] - The board has initiated a search for a successor, marking a break from tradition as there is currently no named successor [4] Financial Performance - Heineken is expected to report a 2% to 3% drop in beer volumes in its upcoming full-year earnings report, following a warning in October about annual profit growth being at the lower end of the 4% to 8% forecast range [2] - The company's stock has declined over 25% in the past five years, indicating underperformance compared to rivals [7] Strategic Initiatives - During van den Brink's tenure, Heineken faced historic cost inflation and implemented a cost-cutting and restructuring program to protect margins [4] - The company has focused on marketing beer as a social connector to counter the trend of alcohol moderation among consumers [7] - Heineken has made significant acquisitions in emerging markets, including India, South Africa, and Central America, expanding its footprint beyond Europe [8]

Wall Street was rocked early Monday after federal prosecutors opened a criminal investigation into Federal Reserve Chair Jerome Powell — rattling investors and igniting fears of political interference at the central bank.Dow futures tumbled more than 350 points in premarket trading, with the blue-chip contract down 357 points, or 0.72%, while S&P 500 futures slid 39.75 points, or 0.57%, and Nasdaq futures sank 201.25 points, or 0.78%, as investors reacted to the Justice Department’s move against the Fed cha ...

Core Insights - Meta has appointed Dina Powell McCormick, a former Goldman Sachs executive, as its first-ever president and vice chairman, indicating a strategic move to enhance its global partnerships and capital access [1][3][5] Group 1: Leadership and Strategic Focus - Powell McCormick is expected to leverage her extensive relationships with sovereign wealth funds to secure strategic partnerships and oversee Meta's $600 billion infrastructure buildout over the next decade [2][15] - Mark Zuckerberg emphasized that Powell McCormick's experience in global finance and her relationships make her uniquely suited for this role, which is crucial for Meta's growth [3][14] Group 2: Competitive Landscape and Investment Strategy - The appointment comes as Meta aims to keep pace in the AI arms race, having invested billions in AI talent and partnerships, including a nearly $15 billion deal with Scale AI for data labeling [4][9] - Investors are looking for Meta to tap into external capital and prioritize strategic partnerships similar to those pursued by competitors like Nvidia and OpenAI [4][6] Group 3: Background and Reputation - Powell McCormick has a notable background, having served in two U.S. presidential administrations and held significant roles at Goldman Sachs, where she managed the firm's sovereign wealth fund business [11][12] - She is highly respected in the finance community, with peers acknowledging her exceptional banking skills and extensive network [14][15]

The US attorney’s office for the District of Columbia has opened a criminal investigation into Federal Reserve Chair Jerome Powell, focusing on the renovation of the central bank’s Washington headquarters and whether he was truthful in his congressional testimony about the project, according to a report by The New York Times.Officials told the Times that the probe centers on whether Powell accurately characterized the scope and cost of the renovation during congressional appearances.The Federal Reserve did ...

Group 1 - Allegiant will acquire Sun Country Airlines in a deal valued at approximately $1.5 billion, including debt, with Sun Country shareholders receiving 0.1557 Allegiant shares and $4.10 in cash for each share, valuing the stock at $18.89, a premium of about 19.8% to its previous close of $15.77 [1][2] - The acquisition will expand the combined company's network, adding more destinations across the US and international markets, with a fleet of about 195 aircraft [2][3] - The combined company is expected to generate $140 million in annual synergies by the third year after closing, and the transaction will be accretive to earnings per share in the first year [2] Group 2 - Upon closing, Allegiant and Sun Country shareholders will own approximately 67% and 33% of the combined company, respectively [4] - Allegiant CEO Gregory Anderson will lead the combined company as CEO, while Robert Neal will serve as president and CFO, and Sun Country CEO Jude Bricker will join the board of directors [4] - The deal is anticipated to close in the second half of 2026 [2][5]

Core Viewpoint - Paramount Skydance has initiated "Plan D" to challenge Netflix's bid for Warner Bros. Discovery, emphasizing the regulatory uncertainties surrounding the Netflix deal and its potential implications for both the transaction and Netflix itself [1][6]. Group 1: Plans and Strategies - "Plan A" involved a $30-a-share all-cash offer from Paramount for Warner Bros. Discovery, which was deemed superior to Netflix's $27.75 cash-and-stock proposal [2]. - "Plan B" was a hostile bid aimed at persuading WBD shareholders to accept Paramount's cash offer [4]. - "Plan C" included the possibility of litigation against WBD for allegedly favoring Netflix's bid due to personal connections between executives [5]. Group 2: Financial Implications - The Netflix deal is under scrutiny as it promises shareholders a seemingly unrealistic $3 per share from the sale of WBD's cable properties, which may not materialize [4]. - Paramount argues that WBD's cable spinoff, burdened with $15 billion in debt, may only yield minimal returns for investors [11]. - Netflix has lost $160 billion in market capitalization since its one-year high in June, raising concerns about its ability to afford the deal amidst $60 billion in debt [7]. Group 3: Regulatory Concerns - The merger between Netflix and WBD is expected to face significant regulatory scrutiny, particularly from the Trump administration, which could complicate the approval process [12][16]. - There are indications that Netflix's business model may be reviewed for potential monopoly status, similar to the scrutiny faced by Amazon and Google [17]. - The regulatory environment is becoming increasingly challenging, with discussions in Washington about Netflix's market dominance [17]. Group 4: Future Considerations - WBD is reportedly interested in a "Plan E," which would involve the Ellisons and Cardinale increasing their offer [18]. - The emergence of "Plan D" suggests that Paramount may consider stepping back if regulatory challenges persist, potentially leaving the deal vulnerable [18].